The IRS has announced the 2006 Pension Plan limitations in IR-2005-120. Here is what the new table in the sidebar will look like based upon the new limits:
| 401(k)/403(b) Elective Deferral Limit (402(g)(1)) | $15,000 |
|---|---|
| Government/Tax Exempts Deferral Limit (457(e)(15)) | $15,000 |
| Catch-up Cont.’s Limit | $5,000 |
| Annual Compensation Limit | $220,000 |
| HCE Comp. Limit | $100,000 |
| Key Employee Officer Comp. | $140,000 |
| Max. Annual Benefit: DB Plan | $175,000 |
| Max. Annual Contribution: DC Plan | $44,000 |
| SEP Minimum Comp. | $450 |
| SEP Compensation Limit | $220,000 |
| SIMPLE Employee Cont. Lmt. | $10,000 |
| SIMPLE “Catch-Up” Deferral Lmt. | $2,500 |
| FICA Wage Base | $94,200 |